BlackBerry loses US$1bn, axes 4500 staff

Last updated 07:49 21/09/2013

Relevant offers

World

Who would gain from a Trump border wall? Hint: Not Mexico Don't expect one belt, one road to fix infrastructure: NZ China Council Queensland mines, ports brace as Cyclone Debbie nears 'Fearless Girl' statue can keep staring down Wall Street's bull until 2018 BBC presenter loses new pound coin to talk show sofa Advertisers keen to protect their image are boycotting YouTube Blue wine from Spain may hit NZ Money to be made from driverless cars, says trend-spotter who saw smartphone success German supermarket Aldi rebrands to reveal 'tech, modernity and cool' The disparate global locations that make up New Zealand Facebook - and your news feed

BlackBerry says it will lay off 4500 employees, or 40 per cent of its global workforce, as it reports a nearly US$1 billion (NZ$1.2b) second-quarter loss in a surprise early release of earnings results.

The stock dropped 19 per cent to US$8.50 after reopening for trading. Shares had been halted pending the news.

BlackBerry had been scheduled to release earnings next week. But the Canadian company said late Friday afternoon it expects a loss of about US$950 million to US$995 million for the quarter, including a massive inventory charge due to increasing market competition.

The BlackBerry, pioneered in 1999, was the dominant smartphone for on-the-go business people and other customers before Apple debuted the iPhone in 2007. Since then, BlackBerry Ltd. has been hammered by competition from the iPhone as well as Android-based rivals like Samsung.

Ad Feedback

- AP

Special offers

Featured Promotions

Sponsored Content